Author

Topic: Margin trading and lending on the Poloniex exchange (Read 695 times)

legendary
Activity: 1218
Merit: 1006
I have done few margin trading in poloniex and found it will be helpful to those traders who have really low bankroll to invest into with 1:1 leverage and their 1:2.5 leverage could help alot. However risk of lossing all you have will be high due to their auto order execution when market go way opposite than predicted to cover all associated lending and trading fees.

I prefer normal 1:1 leverage trading myself but i think the concept of margin trading is quite good.
hero member
Activity: 756
Merit: 503
Crypto.games
Nice article.  Grin Easily explains what margin trading and lending is. Thanks!

I had no idea there was such a thing as margin trading. It's really quite risky. People could suffer double losses by losing on the trade investment, and then having to pay for the loaned amount used for the trade plus interest.

Not to mention the risks for the lender but yeah, they probably have collateral anyway.

But I guess the benefits are quite good for the experienced traders. They'll have more opportunities and buying power.
hero member
Activity: 560
Merit: 500
Margin trading will lead into greedy for any trader. 1:1 leverage is always a best practice in my experience.

Lending out may help you to earn passively whereas going for loan for trading is not a good idea. I do not recommend that.
I guess chosen lending than using margin good to earn bitcoin on poloniex at least no risk you will face by lending a money but if you are a good trader using margin trading will give you big profit.
full member
Activity: 168
Merit: 100
The only problem i have with this poloniex margin trading is that the borrower might escape without paying the money because there is no proper record or verification process before the funds were giving out.
legendary
Activity: 1652
Merit: 1057
Margin trading will lead into greedy for any trader. 1:1 leverage is always a best practice in my experience.

Lending out may help you to earn passively whereas going for loan for trading is not a good idea. I do not recommend that.
full member
Activity: 223
Merit: 100
Crypto-News.net | Latest news from Crypto world
As time passes and the technology continues to evolve, bitcoin users from all around the world are given numerous more possibilities. Poloniex is one of the few digital currency-based firms that offers its users the ability to carry out lending and margin trading.

There are several benefits associated with the practice of margin trading...read more:
https://www.crypto-news.net/margin-trading-and-lending-on-the-poloniex-exchange/
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